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Politics, Cybersecurity and Trade Complicate Development and Rollout of 5G

As the world eagerly awaits the impending rollout of 5G devices and networks on a global scale, politics, trade agreements and cybersecurity have become major factors that could hinder adoption. Specifically, several governments are at odds about the use of equipment from Chinese company Huawei, one of the largest global manufacturers of telecom equipment, in 5G networks.

According to a recent article from The Financial Times, a report from the UK’s National Cyber Security Centre (NCSC) states that there are ways to mitigate potential security threats from Huawei’s equipment in 5G networks. The UK had raised concerns about the Chinese company’s engineering processes last year, so the new report marks a shift in policy toward working with Huawei in 5G network development.

That shift could very well impact other European nations as they decide whether to work with Huawei and other Chinese telecom vendors like ZTE moving forward. The UK is part of the Five Eyes intelligence alliance, along with the U.S., Australia, New Zealand and Canada, affording the country access to intelligence data other European nations aren’t privy to. But the UK’s decision flies in the face of US efforts to ban the use of Huawei and ZTE hardware in 5G networks. In fact, a planned executive order from the White House would enable the Commerce Department to block U.S. wireless carrier purchases of Chinese telecom equipment on the grounds that they are a threat to national security.

Australia banned the use of Huawei equipment in its 5G networks last year based on security concerns, while New Zealand’s Government Communications Security Bureau recently blocked a proposal to use the company’s equipment due to national security concerns. Canada has yet to make a decision about the use of Huawei equipment, with the ongoing detention of three Canadian citizens in China further politicizing an already complex issue.

While the UK government may believe security issues from Huawei 5G equipment can be addressed, two British carriers have already stated they will not use the vendor’s equipment in their 5G rollouts. EE has said they will not work with Huawei on their 5G network due to a 2006 cybersecurity policy set by parent company BT. Vodafone has gone on the record as having “paused” use of Huawei products in its 5G development, while UK carriers O2 and Three are planning to use Huawei equipment in their 5G network development.

The political debate hasn’t slowed down development from Huawei, with the company just announcing a 5G-ready converged transport solution. The offering is designed to help carriers build a transport network supporting all services, helping them jumpstart 5G development. The company has already won more than 40 commercial 5G transport contracts.

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